In many cities, ride-hailing companies like Uber and Lyft offer an alternative to traditional taxi service and other kinds of transportation.

Instead of trying to flag down or phone for a cab, you can use a handy app on your cell phone to call for a driver who will pick you up in his or her own vehicle. These companies first boomed in cities where taxis were difficult to access; now however, they have quickly spread to many parts of the US and even other countries.

What You Need to Know About Services Like Uber and Lyft

Before you decide to rely upon a ride-hailing app like Uber or Lyft, you should consider the following:

Expense. You may be attracted to these services because you think they will be cheaper than a taxi. According to Consumer Reports, this tends to be true for longer trips but isn't always true for shorter ones. For instance, Consumer Reports published a study that found the average taxi ride in New York City costs $19.50; however, an average UberX ride cost $23.50.

Taxis usually charge a fixed price for mileage. The alternative services may charge extra fees that make your trip more expensive and hard to predict. In some cities, these new services also have flat fees for common destinations, so if you need to head for the airport, you might check this out. If you really want to save money, a subway, city bus, airport shuttle, or other public transportation will almost always offer you a better value.

Convenience. In some areas, you may have trouble hailing a taxi or even finding a taxi service to call. Since Uber, Lyft, and similar services use local drivers, you may have an easier time getting a ride in certain neighborhoods where taxis are rare or in high demand. You also have the luxury of getting picked up at your door, something you won't enjoy with public transportation.

The app for the ride service also handles payment, so you don't need to have money to pay the driver. You also aren't required to tip them for their services, so you don't need to worry about carrying extra cash.

Should You Hail Uber or Lyft for Your Next Ride?

If you want the convenience of using your cell phone to select and hail a ride, these new ride services can offer you a good way to get picked up at your door. In some circumstances, they may even be cheaper than a commercial taxi. If you take into account the convenience of getting picked up from your home or hotel, they may also provide you with a great value.